The S&P 500, Dow Jones, and Nasdaq Composite all declined for a third consecutive week ending March 13, 2026, as crude oil prices surged above $100 per barrel, reigniting inflation concerns. The S&P 500 fell approximately 1.6%, the Dow lost around 2%, and the Nasdaq slipped roughly 1.3%. The Russell 2000 small-cap index also declined by about 1.8%.
The primary catalyst was a roughly 9% weekly surge in oil prices, one of the sharpest jumps in decades, driven by Middle East tensions disrupting shipping through the critical Strait of Hormuz. The situation escalated with a threat from President Trump to strike Iran's Kharg Island oil infrastructure, which accounts for 2% of global supply, if the strait is not reopened.
This energy price shock brought inflation worries back to the forefront. Producer price data came in slightly above expectations, raising fears that higher costs would soon filter through to consumers. This development complicates the Federal Reserve's monetary policy path, casting uncertainty on the timing of anticipated interest rate cuts later in the year.
In corporate earnings, Oracle stood out with fiscal Q3 results beating expectations, driven by over 20% revenue growth and triple-digit growth in AI infrastructure sales. However, its stock ended the week flat as investors weighed strong guidance against a share price still well below previous highs. In contrast, Campbell Soup issued cautious 2026 guidance that disappointed the market.
Sector performance was sharply divided. Energy stocks were the clear winners, with major U.S. energy funds gaining 2–3% and refiners like Marathon Petroleum rising in the high single digits. Conversely, consumer staples and healthcare sectors each fell 4–5%, while financials lagged due to concerns over private-credit exposures. Gold, typically a safe-haven asset, dipped about 1% for the week as a stronger U.S. dollar offset geopolitical risk demand.
